Hudaco IndustriesJSE:HDC -3.26%89 ROA % is 9.01% as of Nov. 2025, which is 1% above its 10-year median of 8.92. GuruFocus rates JSE:HDC with a GF Score™ of 89/100 and a GF Value™ of R189.20 (Fairly Valued). Among 156 Industrial Distribution companies, Hudaco Industries ranks better than 89.1% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Hudaco Industries's annualizedNet Income for the quarter that ended in Nov. 2025 was R615 Mil.
Hudaco Industries's average Total Assets over the quarter that ended in Nov. 2025 was R6,818 Mil. Therefore, Hudaco Industries's annualized ROA % for the quarter that ended in Nov. 2025 was 9.01%.
The historical rank and industry rank for Hudaco Industries's ROA % or its related term are showing as below:
JSE:HDC'
s ROA % Range Over the Past 10 Years
Min: 0.72 Med: 8.92 Max: 10.47
Current: 8.67
During the past 13 years, Hudaco Industries's highest ROA % was 10.47%. The lowest was 0.72%. And the median was 8.92%.
JSE:HDC's ROA % is ranked better than 89.1% of 156
companies
in the Industrial Distribution industry
Industry Median: 3.74
vs JSE:HDC: 8.67
Hudaco Industries (JSE:HDC) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is two times the semi-annual (Nov. 2025) net income data. The Revenue data used here is two times the semi-annual (Nov. 2025) revenue data.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Hudaco Industries ROA % Related Terms
Hudaco Industries ROA % Historical Data
* Premium members only.
The historical data trend for Hudaco Industries's ROA % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Industrial Distribution subindustry, Hudaco Industries's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Hudaco Industries ROA % vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Hudaco Industries's ROA % distribution charts can be found below:
* The bar in red indicates where Hudaco Industries's ROA % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is two times the semi-annual (Nov. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Hudaco Industries (JSE:HDC) has a ROA % of 9.01% as of Nov. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Hudaco Industries and its competitors. This is near median its historical median of 8.92. Over the past decade, Hudaco Industries' ROA % has ranged from 0.72 to 10.47. According to the industry distribution chart, Hudaco Industries ranks #17 out of 156 companies in the Industrial Distribution industry, placing it in the top 10.9%.
Is Hudaco Industries' ROA % too high?
Hudaco Industries' current ROA % of 9.01% is near median its 10-year median of 8.92. Over the past 10 years, this metric has ranged from a low of 0.72 to a high of 10.47. The Industrial Distribution industry median ROA % is 3.74. Hudaco Industries' value of 9.01% is 140.9% above this industry median. Based on the distribution chart, Hudaco Industries ranks #17 out of 156 companies in the Industrial Distribution industry, which is in the top quartile — a strong position relative to peers. Overall, Hudaco Industries has a GF Score™ of 89/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Hudaco Industries' ROA % compare to GWW and FAST?
According to the Industrial Distribution industry distribution chart, Hudaco Industries ranks #17 out of 156 companies for ROA %. This places Hudaco Industries in the top 11% of its industry — outperforming the majority of peers. The industry median ROA % is 3.74. Hudaco Industries' value of 9.01% is 140.9% above this benchmark. Historically, Hudaco Industries' own ROA % has ranged from 0.72 to 10.47 over the past decade. While the company's 10-year median is 8.92 vs. the industry median of 3.74, Hudaco Industries has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for an Industrial Distribution company?
The median ROA % among Industrial Distribution companies is 3.74, based on 156 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hudaco Industries's current ROA % of 9.01% is 140.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Hudaco Industries and its competitors. For the Industrial Distribution industry, the median ROA % is 3.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hudaco Industries's current ROA % is 9.01%, which is near median its own 10-year median of 8.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hudaco Industries stock overvalued right now?
Based on GuruFocus' analysis, Hudaco Industries (JSE:HDC) is currently considered Fairly Valued. The stock's GF Value™ is R189.20, compared to a current price of R188.52 — trading 0.4% below its estimated fair value. The current ROA % is 9.01%, which is near median its 10-year median of 8.92 and 140.9% above the Industrial Distribution industry median of 3.74. Hudaco Industries' overall GF Score™ is 89/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Hudaco Industries (JSE:HDC), the current ROA % is 9.01% as of Nov. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Hudaco Industries (JSE:HDC) Overvalued in 2026?
Based on GuruFocus' analysis, Hudaco Industries stock appears to be undervalued.
The current stock price of R188.52 is trading 0.4% below its estimated GF Value™ of R189.20.
GuruFocus considers Hudaco Industries to be Fairly Valued.
Key valuation signals for JSE:HDC:
ROA %: 9.01% (near median its 10-year median of 8.92)
GF Value™: R189.20 vs. price of R188.52 (0.4% below fair value)
Industry Position: 140.9% above the Industrial Distribution median (#17 of 156)
No single metric tells the full story. See the JSE:HDC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hudaco Industries Ltd is engaged in importing and distributing branded automotive, industrial and electrical consumable products. The company operates in two business segment such as Consumer-related product segment which includes power tools, security equipment, communication equipment, automotive and batteries, and Engineering consumables segment which consist of bearings, diesel engines and spares, and power transmission. It generates maximum revenue from Engineering consumables segment. Geographically, it derives a majority of revenue from South Africa.
89GF Score
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